Remo Resources Inc. (RER.V: Quote) announced that it has closed its initial public offering of 4.00 million common shares at a price of C$0.20 per common share, for aggregate gross proceeds of C$800,000.
The company said it will be expending the net proceeds of the IPO on its Adrian Property.
The company said its common shares were listed on the TSX Venture Exchange under the trading symbol “RER” effective at market open today, subject to an immediate halt. The company expects the halt to be lifted at market open on Wednesday, January 2, 2013.
Wolverton Securities Ltd. acted as agent on the IPO. As consideration for assisting in completing the offering, the Company: (i) paid a marketing commission equal to 8% of the gross proceeds of the IPO, which the Agent elected to receive in common shares of the Company at the rate of one common share for each C$0.20 of marketing commission, being 320,000 common shares of the Company; (ii) paid a corporate finance fee of C$25,000 (plus applicable taxes) in cash; (iii) issued to the Agent 320,000 non-transferable options, each such Agent’s Option entitling the Agent to purchase one common share for a period of 24 months from today’s date at a price of C$0.20 per share; and (iv) paid the Agent’s expenses as incurred.
As a result of the closing of the IPO, the company now has 8.93 million common shares issued and outstanding.
The company also has an aggregate 3.93 million shares reserved for issuance pursuant to the exercise of: (i) the 3.61 million outstanding share purchase warrants, each being exercisable at C$0.20 per share for a period of 60 months from today’s date; and (ii) the 320,000 Agent’s Options.
240,000 of the Agent’s Options, and any shares issued upon exercise thereof, are subject to a hold period and may not be traded in Canada until April 22, 2013, except as permitted by applicable Canadian securities laws.
The board of directors of the Company consists of Stephen Kenwood, Darren Devine, Gary Freeman, Keith Henderson and Peter Mordaunt. Stephen Kenwood is the President, CEO and Corporate Secretary and Vivien Chuang is the CFO.
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by RTT Staff Writer
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